The AI market has been a hot topic in the stock market over the past 18 months, with ChatGPT leading the charge. Stocks associated with AI technology have been driving much of the market’s gains, and the outlook for the AI market is only getting brighter. According to Statista, the global AI market is expected to show significant growth, with a CAGR of almost 16% leading to a market volume of $738.80 billion by 2030.
Nvidia CEO Jensen Huang has even gone as far as to say that AI will be ‘bigger than the internet.’ Nvidia, a key provider of AI chips, has seen its shares soar, but other AI plays like SoundHound AI and Super Micro Computer have also been riding the wave.
SoundHound AI, known for its powerful platform that excels at identifying songs, music, and spoken requests, has seen its shares surge after Nvidia revealed a stake in the company. While the stock has pulled back from its highs, it is still up significantly since the beginning of the year. JR Research rates SoundHound AI shares a Hold, citing concerns about profitability and competition from big tech companies.
On the other hand, Super Micro Computer has seen even greater gains, with returns of 790% over the past year. The company provides advanced server and storage solutions tailored for AI applications and collaborates with Nvidia. JR Research has changed its tune on Super Micro Computer, now rating the stock a Buy and praising the company’s growth potential in the AI space.
Overall, analysts are mostly bullish on both SoundHound AI and Super Micro Computer, with a Moderate Buy consensus rating for both stocks. However, according to JR Research, Super Micro Computer is the superior AI stock for investors to buy today. Investors looking for opportunities in the AI market should do their own analysis before making any investment decisions.
